21) The ending Merchandise Inventory for the current accounting period is understated by $2,700. What effect will this error have on Cost of Goods Sold and Net Income? A) Cost of Goods Sold Net Income Understated Understated B) Cost of Goods Sold Net Income Understated Overstated C) Cost of Goods Sold Net Income Overstated Overstated D) Cost of Goods Sold Net Income Overstated Understated